The Cost of Non-Schengen: the Impact of Border Controls within Schengen on the Single Market

07-06-2016

This paper considers the costs of four scenarios for the reintroduction of border controls within the Schengen area: for two years for seven countries; for two years across the Schengen area; indefinitely for seven countries; and indefinitely across the Schengen area. It identifies how a reintroduction of borders would create costs of 'non-Schengen' and estimates that cost quantitatively. For the highest-cost scenario — indefinite suspension of the whole Schengen area – the cost is 0.06-0.14 per cent of EU GDP, or some €100 billion to €230 billion over ten years.

This paper considers the costs of four scenarios for the reintroduction of border controls within the Schengen area: for two years for seven countries; for two years across the Schengen area; indefinitely for seven countries; and indefinitely across the Schengen area. It identifies how a reintroduction of borders would create costs of 'non-Schengen' and estimates that cost quantitatively. For the highest-cost scenario — indefinite suspension of the whole Schengen area – the cost is 0.06-0.14 per cent of EU GDP, or some €100 billion to €230 billion over ten years.